COMPANY NEWS;ALLIED SIGNAL PREDICTS IT WILL MEET CASH TARGET

The industrial conglomerate Allied Signal Inc. said it would meet its 1996 target of $400 million in additional cash even though it had a cash deficit of $200 million in the first half of the year. In a memo to Allied Signal executives, Lawrence Bossidy, the company's chairman and chief executive, said that in order to reach its goal, the company would have to bring in about $650 million in the next six months. Allied Signal makes products for the aerospace, automotive and engineered-materials industries. Shares of Allied Signal fell $1, to $56.75.